Oktoberfest is the classic time to have a beer tent, but don't overlook St. Patrick's Day, Fourth of July, Labor Day or any day that has warm weather and a reason for a crowd to gather. A beer tent can be part of an art festival, sporting event or a fund-raiser. A small business participating in organizing or managing a beer tent needs to be aware of the necessary licensing and liabilities.

Licenses, Permits, Applications

Exactly what kind of licensing is required depends on the state, city and sometimes even the county where the beer tent is located. At the least, you'll need a license to serve beer, a sales tax license and a business license. Don't assume the licensing you have for your small business will satisfy the requirements. The beer license, sold as a beer and wine license, has restrictions for applicants and costs up to several thousand dollars; restrictions and cost depend on the state. Depending on the event and venue, you may also need city or town permits for parking and crowd control. Check with the fire department and police department for their permit requirements. The city may have zoning restrictions and regulations as well. Obtaining the right permits is critical -- you could end up with costly fines if you make an error.

Equipment

Beer kegs, glasses, ice, the tent, tables and chairs are the minimum equipment needed. The types of glasses may be restricted to paper or plastic. Beer in bottles may or may not be allowed, depending on the city. If food is to be sold -- and it often is at a beer tent -- refrigeration and ways to heat the food is required, along with the appropriate permits. Power sources or a generator may be necessary.

Location

The beer tent has to be segregated so children can't access it. It can't be located on school grounds. Some public parks prohibit the consumption of alcohol; others will issue a permit for one-time events. The tent should have limited entrances that are staffed to check for identification to keep those below the drinking age outside the area. Ideally, the area should be fenced.

Liability

Serving alcohol opens the promoters, servers and organizers of the beer tent to several areas of liability, including serving alcohol to minors and serving someone who is inebriated. If anyone is injured by a person who has drunk enough beer to affect their abilities, the organizers of the beer tent could be liable. If your small business is one of the supporters or organizers of the event, you could be at risk.

Servers and Workers

At fund-raising events, many of the workers are volunteers. At a beer tent fund-raising event, the workers and servers should be experienced at serving beer or liquor. An experienced worker knows the importance of recognizing the signs of someone who's had too much beer. She also knows how to serve the beer and the kind of container allowed; some events don't allow glass bottles on the premises. An experienced worker will also be able to more accurately determine if someone is under the drinking age. Beer is an enticement to teens who may try to sneak past the tent entry points.

Community

The surrounding community, including parks, schools, housing, churches and businesses should be kept in mind when locating or running the beer tent. Their support, or lack thereof, could impact the granting of any permits. Residents may not like the idea of alcohol being served so close by and drunk drivers in their streets. Businesses who serve beer may not appreciate the additional competition, even if it's only for a limited time period.

About the Author

Katie Jensen's first book was published in 2000. Since then she has written additional books as well as screenplays, website content and e-books. Rosehill holds a Master of Business Administration from Arizona State University. Her articles specialize in business and personal finance. Her passion includes cooking, eating and writing about food.